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tv   Bloomberg Technology  Bloomberg  October 11, 2019 11:00pm-12:00am EDT

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♪ taylor: i'm taylor riggs in san francisco. this is "bloomberg technology." from this week intact. cunningham, high-level negotiations between washington and beijing begin again this week. ofdig into the issues intellectual property and u.s. properties that do business with china. plus, zuckerberg to testify. the facebook ceo will appear before lawmakers this work on
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the social networks controversial cryptocurrency. we have details. and whistleblower speaks. people at the cambridge and politico -- analytica scandal joins me. trade talks picked up this week in washington after tapering off in july with no clear breakthroughs. china's vice premier was greeted by treasury secretary steven mnuchin and trade representative robert lighthizer before talks resumed thursday. the stakes were extremely high as president donald trump threatened to raise tariffs on $215 billion worth of chinese goods on october 15 if there was no progress. the technology sector paying close attention to those sessions as intellectual property is playing a prominent
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role in the negotiations. to someone from a firm who helps u.s. firms protect intellectual property. >> a fairly large company in china, just saw $100 million in revenue that files and protects intellectual property for clients that have previously mostly been in china and is now expanding into the u.s. that's what we are doing here based out of boston. taylor: what kind of ip theft language do you need to see to get a deal? regardless of the status of the trade talks, the importance of securing ip protection for u.s. companies that are operating in china should not get lost anywhere. be. companies should not missing out on that opportunity if there going to work in the chinese market.
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things are manufactured in china and they are in that market already. whose: who is stealing ip? eric: good question. there's a fair amount of confusion when we talk about ip theft. it really needs to be defined a bit better. and thethat routinely question is, what are we talking about specifically? we don't hear a lot of specific examples that are at all recent. i think most people think of ip theft as counterfeit goods and that is a very real problem that it is an china and problem for any manufacturer outside of china. where we tend to be thinking about ip is in the patent world, where you are disclosing, when
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you get a patent, getting the protection not only in the u.s. but also in china, or china is fairly open to protecting their markets for anyone operating inside china, by filing and protecting it with patents. taylor: do you trust the projections -- protections in beijing given the relationship between the u.s. and china not being the best right now? eric: if we just abstract andelves from the battle put that aside for a moment, when you get a patent in the united states, you are telling the world how to practice your invention in exchange for the rights to do that. you have the right to exclude others, but only in the united states and you have made your invention public and anyone from anywhere in the world can look at the u.s., look at your patent, see how to practice it and go ahead and do it. if you're not protecting it in
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the country were someone is doing it, you don't have any protection. wherelargely a situation you want to file for protection in china if you're going to be filing for protection at all. it is almost crazy not to be doing that if you're going to be operating anywhere in the world besides the united states. giler. that was eric as for companies affected by the ongoing trade war, one company manufactures a significant portion of its product in china. it added to his lineup of tracking devices that helps andomers keep track of keys other things viewed the company may be considering future manufacturing hubs outside of china. >> because we manufacture products and do a lot of that in
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china, the trade wars and policies there are impacting us. we are subject to tariffs, they went in effect on september 1. we support the policy, but one of the challenging things for companies like ours is we did not have a lot of notice that tariffs were going into place. i think we had four weeks notice. while we support the policy when you think about building product at the holiday, we didn't have a chance to react. needs to be a less tacit he of the supply chain, you need to have two quarters. what is your legroom? >> it does take time to shift a supply chain. if you think of a businesslike tile, we started in the u.s. and now we are global. we are selling in well over 40 countries, our community has expanded across the world. when you have complexity like 40,000 retail stores, growing like crazy in japan,
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last quarter we sell 106% growth. you need a supply chain that meets the needs of retail customers, distribution customers, and we have a big direct business as well, so selling to the direct customers. there is a lot of complexity. making moves takes time. taylor: have you started moving manufacturing in those places? cj: we are basically viewing this as an opportunity. as i said, we support the policy, so now we are taking a chance to reshape our supply chain in a way that serves our customers best. both direct customers and retail customers. taylor: you are talking about a new hardware lunch which is great, but there is a software component as well. you were here a year ago and you said sometimes you don't need the hardware because the software is bluetooth enabled and can connect to things like google home and amazon's alexa. how is that interaction between hardware and software? cj: a few things that are not
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super well-known about tile, one is we have a community platform. it's basically the largest lost and found network in the world itemf you leave your tiled , it gets found by the community. we have an apt mesh network of users helping you locate your things. the second thing is our big focus is around embedding the tile capability into third-party projects. we have announced about six or seven different audio headset partners and we have launched products with companies like bose and skullcandy. we are looking at big verticals like laptops and cameras and wearables. anything with a bluetooth device, and there are 30 billion of those shipping in the next five years, and they can be a tile with a software update. taylor: how do you respond to some reports that apple could be coming out with a competitor product? do you see them as a colleague
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or competitor and what do you do if that's the case? cj: apple has been a great partner for tile. the way we think about the rumors around the competitive product is that it is really validation. we have been building this category for six years and it basically illustrates this is a real pain point. withe devices shipping bluetooth, only about 4% are apple devices. it's a big opportunity for the rest of the market. taylor: that was the tile ceo. protests in hong kong ticked off again this week following months of demonstrations demanding universal suffrage and the right to choose hong kong's leadership. the level of violence has grown in recent weeks and police have responded with tear gas and batons. apple joined other foreign companies struggling to navigate the pro-democracy movement. apple pulled a popular app from
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the app store that shows police activity in hong kong and was said to be used by protesters for demonstrations. selina wang filled us in from beijing. this allows users to see were protests and police activity is happening. apple is reversing course again after saying it spoke to local authorities that said it was threatening public and police safety. the app creators have said there is no evidence of this and critics have scorched the company for saying it is basically capitulating to china's demands at the expense of free speech, but to be clear, this is in the first time apple has made a move like this. a few years ago, he removed vpn apps on the app store in china and it removed a taiwan flag emoji app. greater china is apple's largest market after the u.s. so there is a lot at stake for the company. it underscores the increasing
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challenges when it comes to balancing political risks at home and abroad for international companies operating in china. taylor: within that balance you talk about, was this really harming police or is it seen as caving to beijing? selina: we did hear from me hong kong legislator say he was deeply disappointed in this decision and that in his view, this is hurting individual, innocent passersby who would use the app to avoid violence. appe is no evidence of the being used to threaten public safety, but apple says it did in investigation saying it was used to potentially target individual police and individuals in areas where police are not around. i think the broader significance of this also points to what we have seen happened other companies caught in the fray, not just apple.
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zahra, lizards, d havingo -- blizar tinto a delicate line on the hong kong protests. significant is a example. a single tweet has threatened the entire business of a company that in china, it has been decades building its business there. with a single tweet singing to be -- seeming to be sympathetic to the protest, you have the state broadcaster refusing to broadcast their games, all distancing themselves and cutting ties to the company. we have seen beijing take a very hard line, zero-tolerance policy approach when it comes to companies seeming to meddle in what they say are internal affairs. taylor: that was bloomberg's celine about -- selina wang from beijing. coming up, mark zuckerberg summered -- some back to
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washington for another out of hearings on the libra cryptocurrency this month. we will have details. if you like bloomberg news, check us out on the radio. you can listen on the bloomberg app, bloomberg.com, and in the u.s. on sirius xm. this is bloomberg. ♪
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taylor: mark zuckerberg will get a firsthand look at the growing opposition to facebook's plan to create a cryptocurrency. we learned this week the social network ceo will testify before the house financial services committee october 23. the hearing will examine facebook's impact on the financial services and housing industries. for more, i spoke with kurt wagoner. anytime the ceo testifies it is a big deal, but mark zuckerberg is a huge deal. i was there when he last testified and it was a total zoo. everyone wants to see mark and ask him questions and i imagine this will be the same. i know they had been trying to get sheryl sandberg, they were talking to her, we wrote about that a couple of weeks ago and it looks like they got someone even better in theory, her boss. taylor: what do we know about the content about the hearing?
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kurt: we know the committee focuses on financial services, so libra, the cryptocurrency facebook is spearheading, will probably be a large portion of it. they also do housing stuff. ofebook has been accused issues around its advertising business where people are discriminating or being discriminated against, i'm sorry, for housing related issues. i imagine that will come up as well the thing about these hearings i have learned, once you get executives in front of these committee, pretty much everything goes. mark zuckerberg in particular being there, i imagine we will hear questions that spanned the gamut. taylor: i think i've asked you this before and i continue to be perplexed, does facebook realize the amount of opposition would be coming their way about cryptocurrency? kurt: it's hard to imagine they would have a forcing this level of pushback. this level ofen pushback. if they had, i think they
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would've done more work before announcing the currency. that being said, it is a tough chicken and egg situation. thesey darted having conversations with politicians, it would have leaked, people would say facebook doesn't have a plan. so they took the other approach and announce the plan and now they are having conversations and everyone is freaking out. lose-lose for was them, but at the same time, did they anticipate mark zuckerberg would be testifying before congress four months later? i have a hard time thinking that was the case. taylor: facebook skeptics now have derivatives to bet on whether libra will meet its target launch date. a crypto futures exchange is offering derivatives that pay out based on the likelihood libra will be operational by the end of 2020. , it -- the price
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coin flex ceo spoke to bloomberg on monday. >> we are excited about this futures contract because it gets the market to price the odds of the event occurring. it is physically delivered libra, and in nondelivery by facebook, it settles at zero and gives the market a way to say it is likely, it is unlikely, respond to news events, and give clarity to facebook and libra partners. >> why so bearish and pessimistic? why only a 30% chance of hitting the december 2020 date, already later than they planned? mark: were going to let the market decide this one. that is the opening price, but from thereafter, it's just determined by anyone who wants to make a market. this garnering a lot of attention for you? are you going to get high-volume when these contracts open? mark: we don't actually expect
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very high volumes from these contracts. we do, however, expect them to be something people are fascinated by trading, something that ends up trading a lot in terms of the number of users. ultimately it brings interest in the exchange and provides a signal to the market of where libra actually will end up being. >> we have a pretty active betting market in this country. why is it better to use your product than walk into a betting office and say i would like to put a bet on this particular outcome for this libra product? they specialize in making markets for off-the-wall stuff. why do you need this product? is a physically delivered futures exchange. our main products are futures on bitcoin physically delivered. if you want a physically delivered libra at the time of expiry, this is the place for you. if you want to make a sports bet or something like that, if libra
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gets traded on those platforms, that is a great place to do that, but we are trying to offer futures on libra and that is basically what people come to us for. ceoor: that was coin flex mark lampe you'd coming up, -- mark lamb. a former we hear from chairman and ceo of nasdaq. later, whistleblower is the word in washington. but before then, there was cambridge analytica. this is bloomberg. ♪
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taylor: when bob grice l took he reins of nasdaq in 2003,
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knew he had his work cut out for him, as did the board. he got off to a running start and made key personnel changes, trimmed costs, and landed big deals. in the process, he made nasdaq into a very different institution. thursday, he spoke to david westin about his new book, market mover. the most important move we made was to buy inet, we got the best technology on the street. a lot of the high-frequency firms use some version of inet today. we gained market share. when i think about the 47 acquisitions we did, the only one we had to do independent the price was inet, we were institutional risk. we were using mark -- losing market share and money every day and we didn't have any technology on the shelf that had proven great faith. the rest of the acquisitions were optional and we were using
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that to build upon further strength. david: then 2008 happened. stress on everybody, including you to clear the trades coming through. but there were reform -- reforms afterward and in your book, you said that jamie dimon called you up and not a friendly way. bob: there were some four letter words there, but i would say our systems worked well through the great credit crisis. we were hitting volumes we only saw in the lab, that was nerve-racking. we bent but did not break. there was a professional disagreement in terms of how things would play out. one thing i have to say with jamie dimon, we lived through difficult times with facebook, and to his credit, he gave me a come on bob, you will get through it and it will work out. david: the facebook problem was pretty well known and treated directly in the book.
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it is a really big loop. i came there and we had a certain culture. we changed it, and we may be, engineers are the kings of the ship. it was not balance. i created a culture where the engineers could over develop systems without any check from the people running the businesses. we had to evolve, we learn from it and became a more balanced organization and a better organization. david: right now, there is a big dispute, discussion going on about ipo's, which are terribly important to nasdaq, as well as direct listing. nasdaq had both expenses, didn't you start with a direct listing before you got there? bob: we did it when i was there. david: what are the pluses and minuses of direct listing versus ipo? bob: direct listing will have anish -- a niche.
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you have zero need for capital and a brand in the investment community, direct listing comes into the frame and you have to make a decision. the advantage is you don't have to get involved in what is the right price. upi go public and the prices 40% or down 40%, i am the ceo and i don't really want to be in that game of trying to decide how to play that. i would rather get the right price. if you list first and then raise later, the stock is trading. that is an alternative for some but not too many. taylor: that was the former nasdaq ceo. coming up, hammered analytic a -- cambridge analytica whistleblower has a new book out. we will talk about the hacking threat as a 2020 presidential election closes and. and "bloomberg technology" is on twitter.
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check us out and follow our global breaking news network at tictoc on twitter. this is bloomberg. ♪ everyone uses their phone differently.
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♪ "ther: welcome back to best of bloomberg technology," i am taylor riggs. a rulingis appealing that says users consume over the -- can sue over the cambridge analytica scandal. facebook says this doesn't line up with other rulings. others are saying that facebook improperly shared data to third parties without permission. more than 30 million user accounts were involved in the scandal. who better to talk about cambridge analytica than the men who blew the whistle on the company? he is also the author of a new
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book that details the series of events. he joined us wednesday from new york along with max chafkin. christopher: writing a book helped me reflect on everything that happened. i talk about my journey from getting recruited at a military contractor to working on modeling and data work that helped identify people more prone to paranoid ideation and extremism with the idea of trying to mitigate that problem to having that work inverted, after an outright billionaire -- alt-right billionaire acquired our company. and in america, people more targeted toward radicalization, in this case, for the alt-right. max: blowing the whistle on the, on facebook,, may be
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most powerful media company in history, what was that like? did you get pushback from facebook, any threats? as you moved to tell the story in full, have you heard from the middle? christopher: where do i begin? i was the story emerged, working with law enforcement, regulatory agencies for months and months before the story broke. out that the found story was emerging -- they knew about cambridge analytica well before any of this was published. the first thing they do is threaten the journalists at "the guardian" with what in my view was spurious allegations, it turned out it was true. they banned me off of facebook and also for some reason off of instagram. working day int, and day out with regulatory
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authorities and the eu, u.k., u.s., all over the world, one of the things i thought was the power this company has to hide, off you skate -- obfuscate their work. one of the things i came to understand is when you go and blow the whistle, you see something that is wrong. you report that to an authority viewed you think there will be some guy in some federal agency building that knows what to do. one of the things i realized, there is not that guy. that guy does not exist. i've talked to governments, regulators, congress, parliament. people do not know how to handle this problem. we me, the real concern is have a completely unregulated, digital landscape you'd companies like -- landscape that completes like facebook take advantage of. likenow that companies
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cambridge analytica have dissolved, the capabilities are still there. one of the reasons i wrote the book is to serve as a warning, because what if china becomes the next cambridge analytica? or north korea? currently there are no rules. we are entrusting our democratic process to a private company and i question whether that is a good idea. taylor: you mentioned that you are in conversations with lawmakers and regulators and i wonder if you think the current regulation and lawmakers are doing a good enough job handling the problem as you described. christopher: one of the things going to congress that i realized was the power of lobbyists, particularly to define a narrative. one of the first questions i would always get at congress is can the law ever keep up with technology? i would say we regulate nuclear power plants, airplanes, medicine safety standards, there are all kinds of technologies we
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regulate in the name of consumer safety. just because something is software or on the internet doesn't mean we can't create rules that require complete to consider whether the products they are putting out into the public will be safe for people to use. the united states is one of the only -- i think the only oecd country that doesn't have a national level privacy law. when you look at the language and the way that a lot of silicon valley companies talk about themselves, they say it is opt in, we are service, terms and conditions, all of the stuff. yet when you look at the price of the people working at the company, they are called engineers and architects, they build ecosystems. these are things people are going into. architecture. when you look at how we regulate physical architecture or engineering, if you build a building and you were an architect and you built it
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without a fire exits but you said people opted into the building and so it is ok and there is a book of terms and conditions over there, if it burns down, that was their choice, people would not stand for that. that i one of the things hope, particularly lawmakers if they read the book, one of the takeaways is we really need to understand what is social media? what are these platforms? they are architectures and they need safety standards. max: we have the 2020 elections coming up you'd the data -- coming up. the data that was at issue, is it still around? is it conceivable that it could come in to play again four years later? i guess in a larger sense, how worried should we be about foreign interference going forward? christopher: i don't know. i don't know what happens with that information. don't know what happened with
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that data. a lot of the same people who were working at kmart analytical now work for the -- cambridge analytica now work for the trump campaign viewed these are people that had regular contact with russian officials. the ceo shared vodka with the russian ambassador. they would then also meet with the trump campaign. , theeople exist capabilities exist, whether the data still exists i don't know. facebook presumably has tried to contain the problem. when i dealt with them, they did not do much. but that is exactly why i think we do need to take a step back and go, should there be some kind of consumer safety watchdog when it comes to digital platforms? if no one is watching, these are the things that can happen, and in this case, we had people come forward and talk to the media, but what about the cases where that doesn't happen?
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taylor: that was cambridge analytica whistleblower list for wiley and max chafkin. coming up, stocks surged after an analyst predicts a connected tv company will triple its user base by 2022. we will hear from the analyst, next. later, consolidation in the food delivery business. we will hear from the delivery hero ceo. the company is a major player in europe. this is bloomberg. ♪
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taylor: roku had its best day in about two months on wednesday after it was upgraded. an analyst noticed a sharp decline in the shares of the streaming platform. to discuss the move, i spoke
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with tim mccoury. we highlighted pretty thoroughly in her note. the stock have come down from 175 or so to about 100, there was an opportune moment. essentially it is partly the international expansion that we talk about in our report and we think roku going from almost a 02 a large number internationally, and they can get to approximately their size internationally that they are in the u.s. now with -- in about three years. on top of that, connected tv advertising, which i think is the growth story for roku, is growing very strongly and roku has built a great position to continue growing into that. taylor: let me parse down some of the points you hit on, one of which was the stock falling from o 99 in a few weeks. it looked relatively cheap. christopher: 170 you could argue got expensive.
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you had a number of software -- software stocks traded down. i think it was sector rotation as much as anything. the stock went from -- i think 55 was the recent low, to 170 in three or five months. when you get that quick of a move, it is not surprising to have it take a breath. it came down sharply. there was increased news of competition, we heard about amazon fire tv, and a flex product that i don't think is a real issue. but more competition at the time and the wrong combination of factors for the stock. taylor: you mentioned earlier about international expansion being a key, as a catalyst for the stock going forward. what types of numbers on that international side you need to see from the company to maintain your thesis? christopher: the thing it -- tim: the thing is we don't know about the international strategy
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or expansion. we know one or two things about markets and devices but we don't know the rollout schedule. what we have done in our report is try to lay out what we think is a reasonable assumption based on connected tv and attrition rates into homes where roku can get. that's where we get our estimate of about 35 or so million households internationally in three years time. that's on the device side. on the advertising side, thus the more important story for them, the advertising platform. if you look at connected tv advertising growth, it is growing double or triple the rate now from year ago. if you had put a more modest assumption of growth on that over a few years time, you get similar numbers that we come to for roku's growth in terms of revenue the next three years. nollen.that was tim when it comes to streaming
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content, the cousin of mark zuckerberg is no stranger to the media landscape. lacquadown with francine to discuss the evolution of content, the need for consolidation and the of following role for females in the industry. francine: 100 million hours of video uploaded just to youtube, and that is one channel on one day, and everyday there are a billion post on facebook. who out there is listening to your content if everyone else is constantly making your content? in five or 10 years, what will we be looking at? randi: i think there will be a layer of cure ration like museums. i think there will just be exhaustion and now people are looking for experts to tell them what to watch. i think the pendulum is almost shifting back again to the
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bigger need for expert voices in news, and different areas because people are bombarded by so much that they want to be guided a little, like you would curate the collection at the museum. but i also think people want more high-quality content again. it is interesting because when i was for starting and social media, it was about how many eyeballs you could get on things and now i think it is the metrics, they are shifting back to engagement and depth. francine: are the next three years are going to be critical in who survives and who doesn't? randi: absolutely, it will be critical. companies will have to make sure they are playing in all of the new spaces. that's why we're talking about audio at zuckerberg media. think it's one of the only spaces at the moment where there are more people listening to podcasts than there are podcasts regularly updated. aroundas a brief window
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blogging like this about 20 years ago. that window is gone, i would not suggest anyone launches a new get, it is impossible to noticed, but podcasting and audio is in that beautiful window right now. i think the media companies that are noble enough to see the opportunities and get in will survive. francine: if you look at the 2020 presidential election, how should media come these look at this election differently? randi: it is interesting because it's so fragmented. there are so may candidates, sony people that have passions around different issues and topics. gone are the days when you had a few sources that were the go to places to turn for an election. i think media companies, they have to almost think of themselves as 20 or 30 tiny media companies and arm their employees to be individual media companies in order to reach the most people they can. excitingly creative and
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stressful time to be working in a media company for sure. taylor: that was zuckerberg randifounder and ceo zuckerberg. coming out, the food delivery business is consolidating. delivery hero among the latest deals in europe. we will hear more about the sector and growth productions of the sea front -- from the ceo of delivery hero, this is bloomberg. ♪
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taylor: food delivery remains a tough market. and u.k.ners uber eats business remain unprofitable and we see consolidation with established giant takeaway.com and just eat preparing to merge. delivery hero is a key european player. they sold their germany business to takeaway.com earlier this year and are seeing customer growth in new markets across asia and the americas.
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bloomberg talked exclusively to the ceo of delivery hero on thursday to discuss the competitive space. inlas: winning market shares every region against every competitor globally, we are on path to be the largest food platform by the end of the year. germany, at the time we did less than 5000 orders in a company like taiwan, now we do three times as many orders as we did in germany back then. the investments we have been doing with the proceeds are really paying off. >> you see more of a future and emerging markets. you got enough -- gotten out of some developed markets recently. will you be selling more developed market businesses to focus on emerging markets? niklas: we are generally focused on markets where we see the best return, the highest frequency of customers, the best return on
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every incremental order. we have that in the middle east, latin america. also some european markets. a veryow i think we have good footprint where we have no general interest of selling in the markets. >> doubling down on the market you are actively in, and what you're trying to do in some markets is the livermore stuff, not just food, but to be more like amazon. that theot concerned margins in a deliver everything business are on the low side? niklas: our main focus is to deliver what customers really want and then work back from that and find ways to make it happen. that's why were looking at groceries, pharmaceuticals, payment. ,f you take an example, turkey we have a warehouse where we can deliver in 13 minutes, way beyond what amazon can do. we now work from there to prove
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economics. we can deliver things on good economics. we see in particular this quarter, logistics efficiencies and all of our business are improving profitability per order and that is encouraging. the future, what percentage of the business do you see being food delivery and what in other logistics? niklas: i still think food, hot food is our main vertical and where we have our core. i think probably 90% of the business. but from time to time, you need something and we want to be there for our customers. >> why get into something else of it's only 10% of the business? niklas: we want to make sure our best customers can stay on our platform when they need something, and to have them continue to come back to our platform gives value. and of course, if you can deliver toothpaste when you really need it, you deliver a
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strong love for our brand. but on the other nine occasions, you might order food. but you remember that experience. taylor: that was part of our conversation with the ceo of delivery hero. google is ramping up its registered -- restaurant industry footprint. the tech giant announced it would be partnering with the orderingigital food platform for the restaurant industry. customers can order directly from over 300 restaurant brands across google search, maps, and google assistant. i sat down for an exclusive interview with the ceo on monday. >> it is about enabling restaurant brands to be found by consumers when they are searching for restaurants on google. consumers naturally do that today, they're looking for favorite restaurants and now they can find the restaurants, order directly from the google platform, whether that is a surge or maps or google assistant, and send the order directly to our platform into
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the restaurant point of sale. i can't speak to the way google's financial model works. our financial model is a subscription platform and the transaction fee is on top of that for increased order volume. taylor: do you share profits with google per click? or whenlick on the ad the delivery is confirmed? noah: it's coming from the context of consumers ordering from different platforms like third-party delivery marketplaces. when they order from those platforms, the restaurants pay something between 20%-30% commission to the third party marketplaces. this gives restaurants the ability to take orders directly from google and we just charge the restaurant a flat fee per month and per transaction that pales in comparison to the there delivery marketplaces. taylor: talk to me about the restaurant side. why would they want to be on your site? olo: restaurants are using
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as digital delivery platform. we work with over 70,000 restaurants across the united states and canada and restaurants are looking to olo to drive traffic into the restaurants. this is around developing a digital elation ship with consumers. also listing menus on popular third-party platforms in a way that keeps the restaurant in control, and enables the orders to originate from outside the restaurant and come directly into the point-of-sale system at the restaurant. restaurantsthe playing the volume game? noah: this is an amazingly seismic shift happening in the restaurant industry. we are going to a place where over half of the overall sales in an $800 billion industry taking place through consumers looking to get their food and consume it off the premises. we are working toward half of that coming from digital channels. the restaurant industry has
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never seen a shift like that and we are about helping our restaurants be the beneficiaries of that shift and get orders coming directly from customers and building the direct consumer relationship. taylor: i hear you on the seismic shift but it's also an industry becoming increasingly competitive. delivery.com, uber eats, grubhub, fresh direct, all of these online delivery programs. how do you stand out? consumerare not a facing brand, we are a platform restaurants used to build their own apps and websites. a lot of the companies you mentioned are partnering with us and sending orders through us to the restaurants using our api that allows us to syndicate content to the third-party sites and have the orders still come through and go into the restaurant point-of-sale, keeping things simple at the restaurant. we are the partner that restaurants select as a digital ordering platform that they are building on top of, and enabling
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them to keep things simple and tapping into the other third-party sources of orders. taylor: it's also a competitive space when we look at google's perspective, there are a lot of mapping services, other search engine is and voice assistant programs. why did you go with google? noah: there's nothing about the relationship that is exclusive. this is part of our rails platform that is about getting our restaurant menus into every third-party site they would want their menus to be listed on, where they want consumers to find them and place orders. we've done a similar deal with door -- and postmates and -- postmates.d to wherews us to go the consumer is and have into the universe of online customers. taylor: that does it for "best of bloomberg technology." we bring you the best and tech through the week. tune in every day.
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"bloomberg technology" is livestreaming on twitter. check us out and be sure to follow are global breaking news network at tictoc on twitter. this is bloomberg. ♪ everyone uses their phone differently.
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>> the following is a sponsored program that is furnished by shriners hospitals for children. it's alec. it's the night before i travel to oklahoma. i'm about to see my boy caleb. i can't live without my shoes.

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